Global Salon Market 2024–2033

Reports Description

As per the current market research conducted by CMI Team, the global Salon market is expected to record a CAGR of 7.46% from 2023 to 2032. In 2022, the market size is projected to reach a valuation of USD 233.8 billion. By 2032, the valuation is anticipated to reach USD 480 billion.

The salon market refers to the industry that provides various beauty and grooming services, including haircuts, hairstyling, hair coloring, skincare, nail care, makeup, and other related services. The market includes different types of salons, such as full-service salons, hair salons, day spas, and nail salons. The salon industry caters to both men and women and is driven by changing fashion trends, the growing needs for personal grooming, and increasing awareness about self-care and wellness.

Salon Market – Significant Growth Factors

The Salon market has been witnessing significant growth trends in recent years. One of the key growth trends is the increasing demand for hair and beauty treatments driven by the rising disposable income of individuals. Additionally, the growing popularity of social media platforms has resulted in increased awareness of the latest fashion trends, hairstyles, and beauty treatments. This has led to an increase in the number of individuals seeking salon services.

Another significant growth trend is the increasing demand for natural and organic products, including hair and skin care products, which is driving the growth of salons offering these products and services. Moreover, the growing trend of male grooming has opened up new opportunities for salons catering to men’s grooming needs.

Salon Market – Significant Opportunities

The salon market presents several opportunities for growth and development in the coming years. One of the major opportunities is the increasing demand for personalized and customized services. Consumers are looking for unique and tailored experiences that meet their specific needs and preferences, and salons that can provide such services are likely to succeed in the market.

Another opportunity is the growing focus on wellness and holistic treatments. Consumers are becoming more health-conscious and are seeking out services that not only enhance their appearance but also promote their overall well-being. Salons that can offer a range of wellness and holistic treatments, such as massages, aromatherapy, and meditation, are likely to attract more customers and gain a competitive edge in the market.

Moreover, the adoption of technology in the salon industry presents a significant opportunity for growth and development. Salons that can leverage technology, such as online booking systems, virtual consultations, and personalized recommendations based on data analytics, are likely to enhance their customer experience and streamline their operations, leading to increased efficiency and profitability.

Salon Market – Mergers and Acquisitions

There have been several mergers and acquisitions in the salon market over the past few years. Some notable examples include:

• Regis Corporation’s acquisition of the Supercuts brand in 2019. This acquisition helped Regis expand its portfolio of hair care brands and strengthen its position in the salon market.
• L’Oreal’s acquisition of Modiface, a virtual beauty tech company, in 2018. This acquisition allowed L’Oreal to enhance its digital capabilities and improve the online shopping experience for its customers.
• The acquisition of Great Clips, a leading hair salon franchise, by Roark Capital Group in 2019. This acquisition helped Great Clips expand its footprint in the U.S. and Canada and increase its market share in the salon industry.
• Ulta Beauty’s acquisition of QM Scientific, a technology company focused on personalized skin care, in 2020. This acquisition allowed Ulta Beauty to enhance its digital capabilities and offer more personalized beauty solutions to its customers.

Overall, these mergers and acquisitions have helped companies in the salon market expand their offerings, improve their digital capabilities, and increase their market share.

COMPARATIVE ANALYSIS OF THE RELATED MARKET

Salon Market – Significant Threats

Some significant threats to the salon market are as follows:

• Economic Recession: Economic recessions can have a significant impact on the salon market as people tend to cut back on discretionary spending during tough economic times. This can lead to a decrease in demand for salon services, ultimately impacting the growth of the market.

• DIY Beauty Treatments: With the increasing availability of DIY beauty treatments and products, some consumers may choose to perform beauty treatments at home instead of visiting a salon. This can pose a threat to the salon market as it may reduce the demand for certain services.

• Competition from Online Beauty Retailers: The rise of online beauty retailers can pose a threat to the salon market as consumers may choose to purchase beauty products online rather than visiting a salon. This can impact the salon market, particularly in the retail product segment.

• Shortage of Skilled Professionals: The salon market depends heavily on skilled professionals such as hairstylists, estheticians, and nail technicians. A shortage of skilled professionals can pose a threat to the growth of the market, as it can lead to longer wait times for appointments and a decrease in the quality of services.

Report Scope

Category-Wise Insights

Service Type:

In the salon services market, the services are segmented into hair care, skincare, and nail care. Among these, the hair care segment is projected to be the most lucrative during the forecast period and currently holds a market share of 7.3%.

The high demand for hair care services is attributed to the growing consumer spending on hair care products and the increasing demand for natural and organic hair care products. Additionally, the rising number of barber and hairdressing shops is also expected to boost the segment growth. On the other hand, the skincare segment is anticipated to generate moderate revenue during the forecast period.

The growing interest of consumers in specialized skin care treatments like facial, anti-aging, and exfoliating massage is driving the segment’s growth.

End-User Type

The salon industry market is segmented based on end-users into men and women, among which the women segment is expected to generate higher revenue. The dominance of the women’s segment is due to the increasing availability of feminine products and services offered by salons. However, the men’s segment is also projected to grow at a notable CAGR during the forecast period.

The demand for men’s grooming services such as beard shaping, eyebrow threading, and body waxing is increasing due to the rise in personal care and hygiene routines among men, which is expected to fuel the growth of the men’s salon services segment.

Salon Market – Regional Analysis

The global salon market is segmented into several regions, including North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa. Among these regions, North America held the largest share of the salon market in 2020. The region has a well-established salon industry, and consumers in the region have high disposable incomes and a strong preference for high-quality beauty services. Moreover, the presence of major market players in the region is further contributing to the growth of the salon market in North America.

Europe is another significant region in the global salon market, with a strong presence of several leading salon service providers. The region has a large customer base that is willing to spend on high-end beauty services. The growing demand for organic and natural products in the region is also driving the growth of the salon market.

The Asia Pacific region is expected to witness significant growth in the salon market during the forecast period. The growing population in the region, coupled with the increasing disposable incomes of consumers, is driving the demand for high-end beauty services. Furthermore, the growing popularity of beauty pageants, fashion shows, and other similar events is also driving the growth of the salon market in the region.

Latin America and the Middle East and Africa are also expected to witness significant growth in the salon market in the coming years, driven by increasing consumer awareness and the growing demand for beauty services in these regions.

Competitive Landscape – Salon Market

The salon industry is highly competitive and fragmented, with a large number of players competing for market share. Some of the key players in the market include

• L’Oreal SA
• Regis Corporation
• Ratner Companies LLC
• Great Clips Inc.,
• Franck Provost Paris.
• Others

These companies are focusing on expanding their business by opening new outlets and acquiring smaller players. They are also investing in research and development to launch new and innovative products and services to cater to the changing demands of consumers.

Furthermore, many players in the market are adopting various marketing strategies to attract customers, such as offering loyalty programs, discounts, and promotional packages. The use of social media and online platforms to reach out to potential customers is also becoming increasingly popular in the salon industry. Overall, the competitive landscape of the salon market is dynamic and evolving, with players striving to stay ahead of the competition by offering high-quality services and innovative products.

The Salon Market is segmented as follows:

By Service Type:

• Hair Care Salon Services
• Nail Care Salon Services
• Skin Care Salon Services

By End User:

• Salon Services for Men
• Salon Services for Women

By Region

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Italy
• Spain
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America